City
Epaper

Pakistan on edge as Iran-US tensions spark fears of economic crisis

By ANI | Updated: March 25, 2026 09:00 IST

Karachi [Pakistan], March 25 : As tensions escalate between Iran and the United States, serious concerns are emerging over ...

Open in App

Karachi [Pakistan], March 25 : As tensions escalate between Iran and the United States, serious concerns are emerging over the potential fallout on Pakistan, with experts warning of severe economic and social consequences if negotiations fail.

Speaking in an interview with ANI, senior Karachi-based journalist Shams Kerio said the ongoing negotiationslargely focused on Iran's nuclear programmehave been undermined by recent developments, including alleged military actions during the dialogue process. He questioned the credibility of such talks, asking what guarantees exist that similar actions will not be repeated.

Kerio stressed that war is not a solution and urged both sides to return to the negotiating table. "Issues can only be resolved through dialogue, not conflict," he said, adding that Iran seeks credible assurances to rebuild trust in the process.

Focusing on Pakistan, Kerio warned that any breakdown in negotiations could further strain the country's already fragile economy. He noted that Pakistan's dependence on regional trade and oil imports makes it highly vulnerable to disruptions, which could trigger inflation and economic instability.

He also highlighted structural challenges, including high government expenditure and limited financial reserves. According to him, tighter fiscal management and reduced spending are crucial to control inflation, especially during a crisis.

Rising fuel prices, he said, would disproportionately impact the poorest sections. "Daily wage workers are already struggling. If petrol prices rise further, food insecurity and unemployment will worsen," he noted, adding that agriculture and industry are already under pressure due to rising input costs.

Kerio cautioned that a prolonged conflict could escalate beyond the region, with countries like Russia and China potentially getting involved, raising the risk of a wider global confrontation.

"If the war continues, Pakistan's economy could collapse due to lack of reserves and weak financial accountability," he warned, adding that the burden would fall heavily on ordinary citizens.

However, he expressed cautious optimism that a peaceful resolution could stabilise the situation. "If negotiations succeed and the war ends, there is a chance for gradual recovery," he said.

Kerio concluded that meaningful progress depends on a shift in approach, particularly from the United States. "Peace is possible only with sincerity, trust and a commitment to dialogue," he added.

Disclaimer: This post has been auto-published from an agency feed without any modifications to the text and has not been reviewed by an editor

Open in App

Related Stories

National"Historic shift": BJP MP Jagdambika Pal on Women's Reservation Bill

NationalDRI Mumbai busts gold smuggling syndicate, seizes 30 kg gold worth Rs 38 crore; 24 women carriers arrested

CricketWanindu Hasaranga ruled out of IPL 2026, LSG to name replacement soon

CricketIPL 2026 Standings: Updated Points Table After Kolkata Knight Riders vs Lucknow Super Giants​​​​​​​ Match

EntertainmentDhurandhar 2 Box Office Collection Day 22: Ranveer Singh’s Film Mints Over Rs 1,048 Crore in India; Check Day-Wise Earnings Report

International Realted Stories

InternationalIndia, Mauritius strengthen ties with enhanced strategic partnership

InternationalIndia to appoint Defence Attache in Mauritius soon; oil, gas supply pact in final stages: EAM Jaishankar

InternationalFormer Nepal PM Oli, ex-Home Minister Lekhak released from jail

InternationalJaishankar meets Mauritius PM Ramgoolam, discusses "wide-ranging partnership" and West Asia developments

InternationalIDF eliminates Hezbollah-linked commander in Lebanon, Gaza militant tied to October 7 attack